The purposes of this study are (1). To identify the implementation of the Village Fund (VF) Management Policy and (2). To identify factors that influencing the implementation of Village Fund Management Policy in Konawe Kepulauan regency. This research was conducted in five regencies, namely: (1) South Wawonii; (2) West Wawonii; (3) North Wawonii; (4)Central Wawonii; and (5) Northeast Wawonii. Each sub-district is selected by three villages. This research used a quantitative approach. The informants of this study consisted of three categories, namely: (1) Officials who directly involved in the management of the Village Fund consist of sub-district heads, village heads and their apparatus; (2) Officials or employees within the scope of the Office of Community Development and Village Government Agency (CDVGA) of Konawekepulauan regency; And (3) Elements of Community Development Institutions (ECDI), Village Consultative Agency (VCA) and Regency Experts, Village Facilitator and Local Village facilitator. The results show that the planning stage has been in accordance with the existing of mechanisms and procedures. However, in the implementation stage, monitoring, monitoring and evaluation and reporting are experienced obstacles so that they cannot be implemented as scheduled. These problems happen because: (a). There is no Regional Regulation or District Head Regulation as the legal umbrella for the implementation of the Village Fund (VF). (b) as a New Autonomous Region, The local government is still concentrated in the implementation of simultaneous regional head elections and the arrangement of the regional apparatus unit, so that Community Development and Village Government Agency technically that handled the community development and village government has not been maximally in committing its main duties and functions. (C). The emptiness of the village facilitator because of the transitional facilitator of Ex Community Development National Program. “MandiriPerdesaan “become the Village facilitator so that the duty of mentoring is not maximal. Implementation of Village Fund management policy in Konawekepulauan regency is not effective. This is affected by several factors, among others: (a). The communication factor is less effective among the government in this case Community Development and government Village Agency of Konawekepulauan regency with the implementer of the program in the village, the Government with the village facilitator, the village facilitator with the program implementer, (b). Human Resource Factors and Non-Human Resources are still very weak, both at the government level in this case Community Development and Government Village Agency and the program implementers (c). The bureaucratic structure and the attitude of the implemented apparatus are still very low, so the implementation of Village Fund management in 2015 is not as effective as expected.